WTI adds over $1.30 after setting new record

Crude oil prices were higher yet again on Tuesday as West Texas Intermediate crude for November delivery added $1.31 to close at $87.44 per barrel on the New York Mercantile Exchange after going as high as $88.20 earlier to set a new all-time record.

Meanwhile in London, November contracts for Brent crude on the Intercontinental Exchange were 95 cents higher to $83.65 per barrel.

The gains came after the Turkish government announced that it would ask Parliament for sanction to cross the Turkey-Iraq border to chase Kurdish rebel troops which have been attacking Turkish troops.

There is a significant amount of oil production in northern Iraq, which is controlled by the Kurds, and although production there has been reduced recently, a complete halt to production in the region would result in a price hike.

Nymex November gasoline added less than 1 cent to $2.16 per gallon, while December heating oil was up 1 cent to $2.31 per gallon.